UK House Prices Post Surprise Fall Despite BOE Rate Cut
- Average price down 0.2% in August to £265,375, Nationwide Says
- But rising mortgage approvals point to stronger autumn
A row of terraced houses in the Forest Hill district of London.
Photographer: Jose Sarmento Matos/BloombergThis article is for subscribers only.
UK house prices fell unexpectedly in August, a sign affordability remained stretched even after the Bank of England eased borrowing costs, according to one of the top mortgage lenders.
Nationwide Building Society said its index of house prices declined 0.2%, the first drop since April. Economists surveyed by Bloomberg had expected a 0.2% increase. The average cost of a home was £265,375 ($349,490), up 2.4% from a year earlier but 3% below the all-time high reached in the summer of 2022.